The US president-elect said he wanted to avoid “even the appearance” of a conflict of interest – but New York’s attorney general office, which is investigating the Foundation, said he cannot shut it while the investigation continues.

His private foundation has been at the centre of several controversies, including how much money he has actually given it, and is under investigation by New York attorney general Eric Schneiderman.

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“The Trump Foundation is still under investigation by this office and cannot legally dissolve until that investigation is complete,” Schneiderman spokeswoman Amy Spitalnick said.

Trump’s transition team said he had directed his counsel to take the necessary steps to close the foundation.

“The foundation has done enormous good works over the years in contributing millions of dollars to countless worthy groups, including supporting veterans, law enforcement officers and children,” Trump said in a statement.

“However, to avoid even the appearance of any conflict with my role as president I have decided to continue to pursue my strong interest in philanthropy in other ways.”

A Washington Post investigation in June claimed Trump had given just a fraction of the money he’d promised to charity, and it was only after public pressure that he made good on a pledge to cough up $1 million to a non-profit group for veterans.

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